SBP forex reserves rise $16m to $21.47b, third weekly gain in a row

SBP forex reserves climbed by $16 million to $21.47 billion in the week ended October 9, the State Bank of Pakistan said on Thursday, marking the third straight week of gains for the country’s external buffer.

The central bank held $21.469 billion against $21.454 billion a week earlier. Pakistan’s total liquid reserves, including commercial banks, reached $26.863 billion, with the banks’ net holdings at $5.394 billion.

SBP forex reserves: three weeks of steady gains

The latest rise continues a run that began in late September. SBP-held reserves stood at $21.439 billion in the week ended September 25, then rose about $15 million to $21.454 billion in the week ended October 2, according to the central bank’s data reported that week. Thursday’s release adds another $16 million to the tally.

Three consecutive weekly increases keep the reserves firmly above the $21.4 billion mark, which the federal government described last month as a historic high. The steady climb contrasts with the sharp inflows seen earlier this year, suggesting the rebuild is now being driven by regular flows rather than one-off receipts.

Reserves matter because they pay for imports and external debt, and they give the central bank room to steady the rupee. Current holdings cover roughly three months of imports, a cushion Pakistan has been working to rebuild after months of pressure.

Rupee firm, gold flat

The rupee edged higher in the interbank market on Thursday, closing at 276.92 against the dollar, up three paisa from Wednesday’s close of 276.95. The 0.01 per cent gain extended the currency’s recent run of stability.

Gold prices in Pakistan stayed unchanged at Rs437,836 per tola, even as international bullion rose more than 1 per cent on a weaker dollar and lower US Treasury yields. Ten-gram gold held at Rs375,373, while silver slipped Rs212 to Rs6,148 per tola, according to the All-Pakistan Gems and Jewellers Sarafa Association.

What is driving the trend

Stronger remittances have been a major support. Inflows from overseas Pakistanis crossed $3.6 billion in September, and the Prime Minister’s Office has credited workers’ remittances, services exports and fiscal discipline for the reserve rebuild.

The October 7 staff-level agreement with the IMF on the fourth review of the $7 billion Extended Fund Facility, which could free up about $1.2 billion, has also steadied market sentiment. The central bank has meanwhile reduced its own foreign exchange-related obligations, cutting a key drain on reserves.

A stronger reserve position also supports the SBP’s tight monetary policy stance and the new express cheque clearing system rolling out this month. The currency outlook, already mapped in our October forecast, improves when the central bank holds more dollars behind the rupee. Gold investors will be watching whether local prices eventually follow the international rally.

*Source: The Express Tribune*

FAQs

What are Pakistan’s SBP forex reserves right now?

$21.469 billion, up $16 million in the week ended October 9, 2026.

How have SBP forex reserves moved in recent weeks?

They have risen three weeks in a row: $21.439 billion in the week ended September 25, $21.454 billion in the week ended October 2, and $21.469 billion in the week ended October 9.

What are Pakistan’s total liquid reserves?

$26.863 billion, including $5.394 billion held by commercial banks.

Why do forex reserves matter?

They pay for imports and external debt, and they give the central bank room to defend the rupee in the currency market.